08/2015

CAPE: Relative Valuation US vs. Europe and Developed Markets

250%

US Valuation vs. Regions

US vs. Europe: 25.7 vs. 16.4 (Overvaluation 57%)
(Avg. Overvaluation vs. Europe since 1979: 34%)
US vs. DevMkts: 25.7 vs. 21.7 (Overvalutation 19%)
(Avg. Overvaluation vs. DevMrkts since 1979: 8%)

US CAPE relative to Europe CAPE

225%

Avg. Overvaluation US vs. Europe (34%)

US CAPE relative to Developed Markets CAPE
Avg. Overvaluation US vs. Developed Markets (8%)

US Valuation vs. local History

CAPE: 25.7 vs. 16.5 (Overvaluation 56%)
Price-Book: 2.9 vs. 2.1 (Overvaluation 38%)
TobinsQ: 1.1 vs. 0.7 (Overvaluation 60%)

200%

175%
Relative
Overvaluation of
57% near ATH

150%
CAPE US / Europe
Avg. 34% since 79

125%

CAPE US / DevMkts
also near ATH

100%

75%
Dez. 79

Dez. 83

Dez. 87

Dez. 91

Dez. 95

Dez. 99

Dez. 03

Dez. 07

Sources: StarCapital as of 31/07/2015.

Contact:
Norbert Keimling
Head of Research

Dez. 11

Dez. 15

Dez. 19